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HomeMy WebLinkAbout69-08 OrdinanceRECORD OF ORDINANCES Dnvtnn Lc_xl Bl:mk. Inc. Orzlinaru•e No. 69-08 (Amended) Passed ~0 AN ORDINANCE AMENDING SECTION 10 (PERSONAL LEAVE), SECTION 11 (SICK LEAVE), SECTION 12 (VACATION LEAVE), SECTION 13 (PAID TIME OFF FOR EMPLOYEES IN PART-TIME PERMANENT POSITIONS), AND SECTION 15 (INSURANCE BENEFITS) OF ORDINANCE NO.73-06 ("COMPENSATION PLAN" FOR NON-UNION EMPLOYEES) AND SECTION 33.47 (SICK LEAVE) OF CHAPTER 33 (PERSONNEL POLICIES) OF THE DUBLIN CODIFIED ORDINANCES. WHEREAS, Council has determined, upon the recommendation of the City Manager, that certain amendments should be made to the leave benefits program for non-union employees of the City of Dublin; and WHEREAS, Council has determined that these amendments are necessary for the administrative and operational effectiveness of the City of Dublin; NOW, ~HEREFORE, BE IT ORDAINED by the Council of the City Dublin, State of Ohio, members concurring: Section 1. That Section 10 (Personal Leave) of Ordinance No. 73-06 (Compensation Plan) be amended by deleting paragraphs A and B as contained therein and replacing them with the following: A. Effective the first pay period of each payroll calendar year, all existing employees serving in Full-Time Permanent positions, and who are in full pay status at such time (i.e. on duty or on approved leave with pay) shall receive five (5) days (40 hours) of Personal Leave. However, new employees appointed during the year shall receive apro-rated allocation of Personal Leave in accordance with the following schedule: Timeframe Appointed Personal Leave Allocation January 1 through March 31 40 Hours (5 days) April 1 through June 30 32 Hours (4 days) July 1 through September 30 20 Hours (2.5 days) October 1 through November 30 8 Hours (1 day) December 1 or later None Personal Leave shall be used at the employee's discretion, provided that it is approved in advance by the employee's Department/Division Head via the use of a Leave Request Form. Personal Leave shall be used within the same payroll calendar year in which it is allocated and shall not be carried over to the next payroll calendar year. B. In the event that an employee is not in full pay status at the time Personal Leave is normally allocated to each employee, yet returns to full pay status at some point thereafter, the amount of that employee's Personal Leave allocation shall be pro- rated. (An employee on an approved disability leave receiving 70% of his/her normal wages/salary shall be regarded as being in full-pay status and would, therefore, receive the full Personal Leave allocation.) For every pay period the employee has been in less than full pay status, 1.54 hours of Personal Leave shall be deducted from the norma140 hour annual allocation. Section 2. That Section 10 (Personal Leave) of Ordinance No. 73-06 (Compensation Plan) be amended by adding new paragraph E as follows: RECORD OF ORDINANCES Or-diacrnc~ No. 69-08 (Amended) Page 2 Passed , ~ p E. Effective the first pay period in each payroll calendar year, all existing employees serving in Part-Time Permanent positions shall receive 2 days (16 hours) of Personal Leave. However, new employees appointed during the year shall receive a pro-rated allocation of Personal Leave in accordance with the following schedule: Timeframe Appointed Personal Leave Allocation January 1 through June 30 16 Hours (2 days) July 1 through November 30 8 Hours (1 day) December 1 or later None Section 3. That Section 33.47 (Sick Leave) of Chapter 33 (Personnel Policies) of the Dublin Codified Ordinances be amended by deleting paragraph A as contained therein and replacing it with the following: A. All employees serving in Full-Time and Part-Time permanent positions shall be entitled to Sick Leave at the rate specified in the "Compensation Plan" adopted by Council. Section 4. That Section 11 (Sick Leave) of Ordinance No. 73-06 (Compensation Plan) be amended by deleting paragraphs B,C, and D contained therein and replacing them with the following: B. Any employee of the City, other than an elective officer, who has an accrued but unused Sick Leave balance from the State of Ohio or any political subdivision of the State of Ohio, and who is eligible to earn Sick Leave with the City of Dublin, shall be entitled to have this accrued but unused Sick Leave balance from these employers transferred for use with the City of Dublin, provided that said employee is hired by the City of Dublin within ten (10) years after his/her date of resignation/separation from any of these past employers with the State or any political subdivision thereof. New employees hired on or after the date this legislation legally takes effect, whose Sick Leave is transferred from another public employer, must first use Sick Leave accrued with the City of Dublin prior to using his/her transferred balance. In addition, on or after the date this legislation legally takes effect, any newly hired employee's transferred Sick Leave shall not be eligible for conversion to a cash payment either on an annual basis or upon separation. C. For employees serving in Full-Time Permanent positions, Sick leave shall accrue at the rate of 2.77 hours per pay period (9 days/72 hours per year). An employee shall not earn the full Sick Leave accrual in a given pay period unless he/she is in full pay status for the entire pay period (i.e. on duty or on approved leave with pay). (An employee on an approved disability leave receiving 70% of his/her normal wages/salary shall be regarded as being in full-pay status and would, therefore, receive the full Sick Leave accrual.) In the event an employee is not in full pay status for an entire pay period, he/she shall accrue Sick Leave at the rate of .034 hours for each one (1) hour in full pay status during the pay period. D. For employees serving in Part-Time Permanent positions, the 9 days (72 hours) per year Sick Leave accrual shall be pro-rated in relation to the number of hours the employee works per week. Section 5. That Section 11 (Sick Leave) of Ordinance No. 73-06 (Compensation Plan) be amended by deleting paragraphs F, H, I, and J as contained therein and replacing them with the following: F. An employee serving in a Full-Time Permanent Position who separates service, in good standing (employee's separation must not be for "just cause"), shall be RECORD OF ORDINANCES Dacron Leal Blank.lnc. 69-08 (Amended) Ordina~zce No. Page 3 Passed 20 entitled to convert a portion of his/her unused Sick Leave balance to a cash payment at time of separation. The rate of pay for such accrued unused Sick Leave shall be the employee's standard hourly rate of pay at separation multiplied by one-third (1/3) of the total number of accrued unused Sick Leave hours up to a maximum payment for 700 hours. H. At the end of each payroll calendar year, an employee serving in a Full-Time Permanent position may choose to convert a portion of his/her accrued but unused Sick Leave to a cash payment, subject to all of the following conditions: 1. The employee must have 40 hours or less of Sick Leave usage for the past 12 months as of the end of the first pay period in December (FMLA protected leave exempted); 2. The employee may convert no more than 28 hours of Sick Leave to pay; 3. Sick Leave shall be converted at the rate of one (1) hour of Sick Leave to one (1) hour of pay at the straight time hourly rate of pay; 4. Once Sick Leave is converted to pay, it shall not be converted back to sick leave. Should an employee exercise this conversion option, it shall be his/her responsibility to forward a written request to the Department of Finance specifying the number of hours he/she wishes to convert to cash, prior to the end of the first pay period in December. The cash conversion shall then be paid to the employee in the first pay period in the new payroll calendar year. Section 6. That Section 12 (Vacation Leave) of Ordinance No. 73-06 (Compensation Plan) be amended by deleting paragraphs A,E,G, and H as contained therein and replacing them with the following: A. All employees serving in Full-Time Permanent positions shall accrue Vacation Leave in accordance with the following schedule: Completed Years of Accrued Vacation Public Service Hours per Year 0 Years - 1 Year 40 Hours 2 Years - 4 Years 108 Hours 5 Years - 9 Years 142 Hours 10 Years - 15 Years 182 Hours 16 Years - 20 Years 208 Hours 21 Years or More Years 246 Hours Vacation leave is provided to employees to allow them to maintain balance between their work and personal lives. To encourage the use of a minimum amount of vacation leave each payroll calendar year, any employee who accrues more than 40 hours per payroll calendar year shall be required to use a minimum of 40 hours that same payroll calendar year. Should the employee use less than the required minimum of 40 hours per payroll calendar year, the difference between the amount actually used and 40 hours shall be deducted from the amount the employee is eligible to carry over from one payroll calendar year to the following payroll calendar year. This provision shall not be applicable to an employee in their first year of service with the City who earns only 40 hours of vacation leave or who has less than a 40-hour balance at the end of the payroll calendar year. In the event of circumstances in which an employee may be in need of a future extended leave due to illness and the employee would be unable to meet the above vacation usage requirement, the employee may make a written RECORD OF ORDINANCES ~~ ~~~. 69-08(Amended) Page 4 Ordi~iunce Nv. Passed , 20 request to the City Manager or his/her designee for a waiver from the above vacation usage requirement. The City Manager's or designee's decision to grant a waiver from the established vacation usage requirement shall be made on a case-by-case basis and shall be based on the facts and circumstances exigent to the situation. E. An employee shall not earn his/her full Vacation Leave accrual in a given pay period unless he/she is in full pay status (i.e. on duty or on approved leave with pay) in the entire pay period. In addition, an employee on approved disability leave shall not accrue Vacation Leave for the duration of such leave. In the event an employee is not in full pay status during the entire pay period, he/she shall accrue Vacation Leave on a pro-rated basis taking into account the number of hours in full pay status during the pay period and his/her rate of accrual at that given time. The formula for pro-rating the employee's accrual under such circumstances shall be the number of hours in full pay status multiplied by the converted hourly accrual rate. G. An employee with fewer than 11 completed years of public service may automatically carry over, from one payroll calendar year to another, a maximum of 160 hours of unused Vacation Leave. An employee with 11 through 19 years of completed public service may automatically carry over 200 hours of unused Vacation Leave from one payroll calendar year to another. An employee with 20 or more years of completed public service may automatically carry over 240 hours of unused Vacation Leave from one payroll calendar year to another. In the event that an employee is precluded from using Vacation Leave because he/she was on an approved disability leave, the City Manager may allow such employee to carry over more Vacation Leave than the maximum normally allowable. Such authorization shall be obtained from the City Manager in the advance of any such carry over. H. Upon separation or termination of employment, layoff, or death of the employee, unused Vacation Leave shall be converted to a cash payment at the rate of 100%. In addition, the conversion of Vacation Leave is permitted on an annual basis in accordance with the following terms and conditions: 1. Employees at the Director level shall be permitted to convert a maximum of 160 hours of unused Vacation Leave to cash at the end of each payroll calendar year. The calculation for the conversion of Vacation Leave under these circumstances shall be the Director's calculated hourly rate of pay multiplied by the number of hours to be converted. 2. Employees below the Director level shall be permitted to convert a maximum of 40 hours of their unused Vacation Leave at the end of the payroll calendar year if the employee has 11 or more years of completed public service and has a minimum Vacation Leave balance of 120 hours at the end of the payroll calendar year. The calculation for the conversion of Vacation Leave under these circumstances shall be the employee's normal hourly rate of pay multiplied by the number of hours to be converted. In the event that an eligible employee (director or non-director) wishes to exercise the above-mentioned conversion option at the end of a payroll calendar year, it shall be his/her responsibility to forward a written request to the Department of Finance specifying the number of hours he/she wishes to convert to cash, prior to the end of the first pay period in December. The cash conversion shall then be paid to the employee on the scheduled pay date at the conclusion of the last pay period in the payroll calendar year. Section 7. That Section 13 (Paid Time Off for Employees serving in Part-Time Permanent Positions) of Ordinance No. 73-06 shall be deleted in its entirety. RECORD OF ORDINANCES Ordinance Nv. U<<~ 69-08 (Amended) Passed Page 5 ~U Section S. That Section 15 (Medical, Dental, Vision, Life Insurance Benefits) of Ordinance No. 73-06 be amended by adding "Short-Term Disability" to the section title and by adding new paragraph C as follows: C. The City shall make available group Short-Term Disability benefits to all employees serving in Full-Time Permanent positions. The benefits under this Short-Term Disability program shall begin after seven (7} consecutive work days of absence due to a disabling medical condition and shall provide disability income protection at 70% of normal wages/salary up to a maximum of 24 weeks for an approved disability, with the ability to supplement said disability income level up to 100% of normal wages/salary through the use of the employee's Sick Leave, Personal Leave, Vacation Leave, or Compensatory Time banks. Employees on approved disability leave at 70% income replacement shall be regarded as being in full pay status and, therefore, they shall not be required to pay for the continuation of their Medical, Dental, and Vision benefits through the duration of the approved disability leave. Section 9. That Section 33.47 (Sick Leave) of Chapter 33 (Personnel Policies) of the Dublin Codified Ordinances be amending by deleting paragraphs (B) (S) and (D) pertaining to use of Sick Leave for bereavement purposes and placing them with the following new paragraph (E) in Section 33.48 (Leave with Pay) as follows: D. Bereavement Leave. All employees serving in Full-Time Permanent positions shall be entitled to Bereavement Leave in the amount specified by the "Compensation Plan" adopted by Council. This leave may be used for the death of one or more of the employee's following family members: spouse, son, daughter, brother, sister, father, mother, legal guardian, person who stands in place of a mother or father, grandmother, grandfather, grandson, granddaughter, mother- in-law, father-in-law, daughter-in-law, son-in-law, brother-in-law, sister-in-law, grandmother-in-law, grandfather-in-law, stepmother, stepfather, stepbrother, stepsister, stepson, stepdaughter, half brother, half sister, or any other relative living in the employee's home. Section 10. That a new Section 20 (Bereavement Leave) be added to Ordinance No. 73- 06 (Compensation Plan) as follows: SECTION 20. BEREAVEMENT LEAVE A. All employees serving in Full-Time Permanent positions shall be entitled to three (3) days of Bereavement Leave per year for the death of a family member specified in Section 33.48 (E) of the Dublin Codified Ordinances. Section 11. That the amendments in this Ordinance shall be effective the first pay period in the 2009 payroll calendar year. ATTEST: Clerk of Council Passed this ~-~ day of .S2 ~1~ 2008. CITY OF DUBLIN_ Office of the City Manager 5200 Emerald Parkway • Dublin, OH 43017-1090 Phone: 614-410-4400 • Fax: 614-410-4490 Memo To: Members of Dublin City Council From: Jane S. Brautigam, City Manager C~4 Lv ~ ~~ l3 Date: August 28, 2008 Initiated By: David L. Harding, Director of Human Resources Michele Hoyle, Budget Manager Summary Re: Ordinance 69-08 -Code Amendment -Employee Leave Program Amendments At the August 18, 2008 Administrative Committee of the Whole meeting, staff presented its recommendations for the redesign of the City's leave program. The recommendations presented by staff were the culmination of an in-depth examination process conducted by a 22-member management group from across the organization, which spanned a 14-month time period. To briefly summarize, these recommendations involve: • the reduction in the amount of sick leave provided annually; • the provision of a new short-term disability program; ^ the provision of bereavement leave; ^ the provision of one additional day of personal leave; ^ the enhancement of vacation accrual and vacation carryover; • the enhancement of annual sick leave conversion and sick leave conversion upon separation; • the enhancement of annual vacation conversion; and • the enhancement of leave benefits for employees in part-time permanent positions. At the close of the Committee meeting, the Committee formulated a recommendation to adopt the leave program design changes as recommended by staff, with one modification. This modification involved the inclusion of a provision requiring the use of a minimum amount of vacation leave each year. At the Council Meeting immediately following, Council adopted the Committee recommendation and directed staff to prepare the necessary legislation for implementation of the program design changes. Accordingly, attached is Ordinance No. 69-08 encompassing the recommended program design changes. Also attached for your reference are the materials previously provided for the August 18`h Administrative Committee of the Whole meeting. Ordinance 69-08 -Code Amendment -Employee Leave Program Amendments August 28, 2008 Page 2 of 3 Ordinance No. 69-08 provides for the amendment of the applicable leave provisions as follows: • Section 1 addresses the increase in Personal Leave from 4 to 5 days and the accompanying adjustment in the pro-rated allocation for new employees appointed at different times of the year as well as for employees in unpaid status at the time of allocation. • Section 2 provides for the change in allocation from 32 hours of Paid Time Off to 16 hours of Personal Leave for employees in Part-Time Permanent positions, which is part of an overall enhancement in leave benefits that includes the addition of pro-rated sick leave (pro-rated sick leave is addressed in Section 4). • Sections 3 and 4 involve the change in use and conversion of sick leave transferred from another public entity, the reduction in annual sick leave accrual from 18 to 9 days, and the provision of pro-rated Sick Leave to employees in Part-Time Permanent positions. Of particular note in Section 4 is the provision involving transferred sick leave. Under the proposed amendment, new employees would be required to use their Sick Leave accrued from the City of Dublin prior to using their transferred Sick Leave and would not be eligible to convert transferred Sick Leave annually or upon separation to a cash payment. • Section 5 addresses the enhancement in Sick Leave Conversion Upon Separation and Annual Sick Leave Conversion. The rate of conversion for the Sick Leave conversion Upon Separation is the employee's standard hourly rate of pay multiplied by one-third (1/3) of the total number of unused Sick Leave hours up to a maximum of 700 hours. This conversion is applicable to any separation in good standing. The rate of conversion For the Annual Sick Leave Conversion is one hour of pay at the employee's standard hourly rate for every one hour of Sick Leave up to a maximum of 28 hours. • Section 6 provides for the enhancement in the Vacation Accrual Schedule at the 5-9, 10-15, 16-20, and 21 or more years of public service, the enhancement in vacation carry over for employees with 20 or more years of public service, and the option for employees below the Director level to convert 40 hours of vacation leave at 1:1 on an annual basis if they have 11 or more years of public service and a minimum balance of 120 hours. Of particular note in this section is the provision amending paragraph H 3 of the Compensation Plan. Staff is proposing the inclusion of a requirement to use a minimum of 40 hours per year or forfeit the option of vacation leave conversion that particular year. Also of note is the provision amending paragraph G in the Compensation Plan. Staff is proposing an amendment that provides the flexibility for the City Manager to authorize the carry over of vacation leave beyond the normal maximum allowable in the event an Ordinance 69-08 -Code Amendment -Employee Leave Program Amendments August 28, 2008 Page 3 of 3 employee has been unable to use his/her vacation leave due to being on an approved disability leave and would otherwise forfeit such leave. (Staff believes such an amendment would be appropriate to address this particular circumstance.) • Section: 7 relates to the change in name and allocation of Paid Time Off to Personal leave for employees in Part-Time Permanent positions. • Sectiozz 8 addresses the provision of a new Short-Term Disability program with benefits beginning after a 7-day waiting period and income protection benefits of 70% of normal wages/salary for up to 24 weeks in duration and the ability to supplement disability pay up to 100% through the use of the employee's paid leave balances. • Sectiozz 9 and 10 address the provision of Bereavement Leave as a new leave benefit type and the benefit level of 3 days. • Sectiozz 11 provides for the variation in effective dates associated with the various amendments in this Ordinance. This relates to the need to implement changes involving a reduction in leave prior to the potential passage of the Ohio Healthy Families Act on November 4, 2008 or, in other cases (i.e. restriction on use and conversion of transferred sick leave), where it would be advantageous to the City of Dublin to implement certain amendments as soon as possible. At the August 18 Administrative Committee of the Whole meeting, staff was also asked to provide further detail on the Accrued Leave Reserve Fund. In response, attached is a cash flow analysis (Attachment A) of the Accrued Leave Reserve Fund, which was established in the 2005 Operating Budget. The Accrued Leave Reserve Fund was established to accumulate funding over time for the anticipated leave conversions resulting from a significant number of retirements that will occur in the next five to ten years. As shown in Attachment A, the resources available in this fund are sufficient to fund current liabilities and could also provide funding for projected new conversions as reflected in Ordinance No. 69-08. RECOMMENDATION Staff recommends adoption of Ordinance No. 69-08 at the second reading on September 15, 2008. Attachments Beginning Balance Revenues Expenditures Cu«ent actual and projected conversions Projected new conversions" Ending Balance Attachment A Accrued Reserve Cash Flow Analysis Actual Actual Actual Estimated Estimated Estimated Estimated Estimated Estimated 2005 2006 2007 2008 2009 2010 2011 2012 2013 $ - $ 304,375 $ 564,554 $ 834,285 $ 1,127,970 $ 1,029,936 $ 961,406 $ 1,083,698 $ 1,211,579 304,375 313,619 329,536 346,446 346,446 346,446 346,446 360,304 374,716 (53,440) (59,805) (52,761) (339,480) (305,777) (110,586) (114,312) (226,814) (105,000) (109,200) (113,568) (118,111) (122,835) $ 304,375 $ 564,554 $ 834,285 $1,127,970 $ 1,029,936 $ 961,406 $1,083,698 $ 7,217,579 $ 1,236,646 Assumes 15 employees separate per year; average conversion of $7,000 based on payment for 80 hours vacation leave and 165 hours of sick leave (495 hours paid at 1/3) CITY OF DUBLIN. Office of the City Manager X200 Emerald Park«~ay • Dublin, DH 43017-1090 Phone: 614-410-4400 • Fax: 614-410-4490 Memo TO: IVlembers of Dublin City Council FRONT: Jane S. Brautigam, City Manager DATE: August 15, 2008 INITIATED BY: David L. Harding, Director of Human Resources RE: Administrative Committee of the Whole Meeting -Redesign of Leave Program Executi~~e Summary The current leave program for City of Dublin non-union employees has been examined by a group of managers from across the organization and they have concluded that it should be amended to better fit the needs of both the organization and the employees. The goal for the redesign efforts is to modernize the City's leave benefit program through the reduction of the amount of sick leave currently accrued to full-time, non-union employees and offset this reduction with the addition of a Short-Term Disability program, the addition of one day of Personal Leave, the addition of Bereavement Leave, and other minor enhancements to the leave benefit program. Please see the table below for an overview of the changes. Comparison of Current Leave Policy to Redesi6ned Policy Leave Provision Current Polic Redesi ned Polic Sick Leave Accrual Annual Sick Leave accrual - 18 .Reduce annual Sick Leave accrual days (144 hours) to 9 days {72 hours) • Recommended implementation date -pay period following the date on which the authorizing legislation would legally take effect. Short-Term Disability None • Benefits begin after 7 consecutive days of absence. • 70% wages/salary for up to 24 weeks. • Supplement up to 100% of normal wages/salary via Sick Leave bank. • Recommended implementation date of January 1, 2009. Personal Leave Allocation Personal Leave allocation of 4 days • Increase Personal Leave allocation (32 hours) to 5 days {40 hours) • Recommended implementation date of January 1, 2009. Bereavement Leave • Charged to Sick Leave balance. 3 • No longer charged to Sick Leave days of leave for bereavement balance. Becomes a separate purposes; extended to 5 days for form of leave.) out-of-state sen~ices. • 3 days of Bereavement Leave. (No List of qualifying relatives. longer an extension of 5 days for out-of--state services). (Employees may use other forms of paid leave Memo to Council re Redesign of Leave Program August 1~, 2008 Page 2 of 10 Bereavement Leave, cont. for additional time off as necessary.) • List of qualifying relatives remains. • Recommended implementation date of Januar 1, 2009. Vacation Accruals, Carryover and . Varies on the years of public • ~•Zinor increases ui accrual rates Cash Out Provision service and/or timing of accruals. • Increase in year-to-year carryover provisions for some employee groups. • Enhanced cash out provisions for some employee groups. • Recommended implementation date of Januar 1, 2009. Part Time Employee Paid Time Off : 32 hours of Paid Time Off per • Reduce leave to 16 hours Personal year Leave. • Accrue Sick Leave pro-rated to hours of service per year. • Recommended implementation date of January 1, 2009. While reviewing the leave program it was announced that the Ohio Healthy Families Act would be an issue on the November 2008 ballot. This bill, if passed, would create a new state-wide sick leave la~~~ mandating all employers with 25 or more employees to provide a minimum of seven days of sick leave. Furthermore, should an organization provide more than the required seven days it would no longer have the ability to eliminate or reduce sick leave days. Due to the impending Ohio Healthy Families Act legislation the redesigned leave program would need to take effect by November 4, 2008. Therefore, the management group has redesigned the current. leave program for non-union employees and is requesting that Council approve the recommended redesign. In addition to this executive summary, this report includes: 1. a detailed memo which fully explains the process used for the analysis of options and the recommended leave benefit changes; 2. "Exhibit A", a comparison of the current leave program to the proposed leave program; 3. "Exhibit B", a comparison of the current City of Dublin leave program to the provisions of the Ohio Healthy Families Act; 4. "Exhibit C", Pitfalls for Employers, a document prepared by City and Legal staff to identity potential pitfalls of the Ohio Healthy Families Act; 5. "Exhibit D", a comparison of 12 Central Ohio cities leave program data; and 6. "Exhibit E", the projected financial ramifications to the City of Dublin associated with the redesigned leave policy for non-union employees. Memo to Council re Redesign of Leave Program August 1~, 2008 Page 3 of 10 Introduction/Back6rouncl In an earlier memo to Council (June 20, 2008), staff communicated that during 2008, a group of 22 managers from across the organization have been working collaboratively to redesign the City's leave program. The inspiration for this redesign effort originated from the implementation of our Healthy by Choice Program when staff realized that some of the concepts underlying the transformation of our health care program into a health management program were also applicable to leave benefit program design. In particular, the concept of using visible, tangible, and reliable financial incentives to reward the right behavior, namely the use of a "premium contribution waiver" to reward the adoption of healthier lifestyle behaviors and better ste«~ardship of one's own health, in order to achieve the desired outcome of lower health care consumption, resonated well ~~~ithin the organization. Much in the same way that an incentive strategy helped transform the design of our healthcare benefits program, staff felt that a similarly designed incentive strategy could, in part, help transform the design of our sick leave program. Staff believes that, as part of an overall strategy to provide a more effective leave program design, using visible, tangible, and reliable financial incentives to reward the right behaviors (i.e. presence more than absence) ~~-~ould logically lead to similar outcomes we are striving to achieve through the Healthy by Choice program, namely to«~er sick leave consumption, better stewardship, higher productivity, and greater job satisfaction. Combining the appropriate use of financial incentives with a more modern approach to mitigating our employees' individual short- term disability exposure seemed to be a strategy worthy of consideration. Consequently, staff began to explore various leave program designs, including those that employed less traditional "Paid Time Off" or "Combined Time Off" programs, more traditional "buckets of leave" programs (Sick, ~Tacation, Personal Leave, etc.), enhanced leave conversion options, and the provision offully-insured or self-insured Short-Term Disability Programs. The mission of this management group from point of inception has been to analyze the strengths and limitations of our existing leave program design, explore alternate design strategies, and to present recommendations for Council's review. A major point of emphasis in this group achieving a successful outcome t~-~as the production of a preferred program design through consensus. Consequently, the management group produced numerous program design iterations during the last seven months before arriving at a preferred product. The management group has now completed its work and staff would like to present the group's recommendations for realignment of our leave program at the Administrative Committee of the Whole meeting scheduled for August I8, 2008. This proposed realignment has the support of the 22-member management group charged «~ith redesigning our leave program. As a preface to the presentation of the proposed leave program design, it should be noted that the elements of this proposed design would only be applicable to our non-union employees. Any changes in leave program design for the union bargaining units would require negotiation t~-~ith the respective unions representing our union employees. As communicated in an earlier memo on this subject, simultaneously to staff's redesign efforts, a nezv bill at the state levvel (Ohio Healthy Families Act) emerged on scene. Such bill, drafted by a state-«~ide coalition comprised significantly of organized labor, would create a ne«~ sick leave Memo to Council re Redesign of Leave Program August 15, 2008 Page 4 of 10 law codified as Chapter 4114 of the Ohio Revised Code and would mandate all employers with more than 25 employees to provide a rninimuin of seven days of paid sick leave to employees working 30 or more hours per «-eek and apro-rated amount to employees ~i~orking less than 30 hours per «Teek or 1,560 hours per year. This Act, as drafted by the previously referenced state- wide coalition, will be on the November 4~' ballot by the initiative petition process outlined in the Ohio Constitution. The Act would also treat sick leave as a protected form of leave to be used at the discretion of the employee and would establish a variety of provisions which would limit the employer's ability to control and manage sick leave usage. The part of this Act that is most troubling to us is the provision prohibiting employers from eliminating or reducing existing leave, regardless of the type of such leave, after the Act's date of enactment for the purposes of complying with the provisions of the Act. Ironically, staff's recommendations involve, in part, a reduction in the amount of sick leave offset by the addition of a Short-Term Disability program, the addition of one day of Personal Leave, the addition of Bereavement Leave, and certain enhancements to various other dimensions of our leave program, including Vacation Leave accrual and the conversion of Sick Leave and Vacation leave to a cash payment. Consequently, staff has been advised by our legal counsel to pursue implementation of the reduction in Sick Leave accrual prior to November 4, 2008. The strategy staff would like to employ is to pursue legislative adoption of all of the proposed leave program design recommendations prior to November 4th, but actually implement the reduction in Sick Leave accrual prior to November 4th to ensure our ability to reduce the Sick Leave accrual legally, should the Ohio Healthy Families Act pass. The effective date of implementation for the other leave program enhancements (Short-Term Disability, Personal Leave, Bereavement Leave, Vacation Accrual, Sick Leave Conversion, and Annual Vacation Leave Conversion) would be January 1, 2009. The other facet to the strategy would be that should the Ohio Healthy Families Act pass, we would then amend the narrative of our Sick Leave Policy to establish consistency with the Act, including the provision of pro-rated Sick Leave to employees serving in Seasonal or Temporary positions. Under such circumstances, staff would work ~-ith our legal counsel in the re-drafting of our Sick Leave Policy narrative to ensure consistency t~~•ith the net~~ late. Upon full consideration of the provisions of the Ohio Healthy Families Act, the management group determined that "Paid Time Off 'i"Combined Time Off ' program design was not in the best interest of the organization at this point in time. The chief concern among the management. group and legal counsel, with respect to the Act's provisions regarding protected leave status, was that «~ith no distinction between types of leave, all combined time off would likely be regarded as "protected leave" and, therefore, place restrictions on the City's ability to manage and control the usage of such leave. Recommendations of Redesign of Leave Program Staff believes that it is important to first outline the key design principles which underlie the management group's recornrnendations. These key design principles are as follows: ^ That the amount of Sick Leave provided annually should be reduced; Memo to Council re Redesign of Leave Program August 1~, 2U08 Page5of10 ^ That the reduction in Sick Leave should be offset by the provision of a new Short- Term Disability program; ^ That the structure and nature of existing Sick Leave banks should be preserved as part of any re-design effort and the associated usage of Sick Leave should at least be permitted as currently allowed; ^ That the reduction in Sick Leave should be offset by modest enhancements to other forms of leave and the provision of ne«-~ types of leai•=e where reasonable, and ^ That enhancements should be made in other leave benefits which take into consideration the leave program enhancements proposed by Management for the FOP bargaining units. These design principles are reflected in the management group's following twelve recommendations. Reduction in Sick Leave Accrual. The management group is recommending a reduction in the amount of Sick Leave currently provided on an annual basis to our employees from 18 days (144 hours} to 9 days (72 hours). (Refer to "Exhibit A" -Leave Prog~°an~ Design.) The City's current 18-day annual accrual rate exceeds the accrual rates provided by rnost comparable local government entities in the Central Ohio area. Although it is not uncommon to see significant sick leave accrual in comparable local government entities, only one of our local government counterparts provides an equivalent amount of Sick Leave. (Refer to "Exhibit D" -Leave Benefits Survey - for a comparison of how these Sick Leave accrual rates relate to other local government entities in Central Qhia.) Historically, the rationale behind maintaining this 18-day annual accrual rate has been that the City does not offer aShort-Term Disability program and, therefore, Sick Leave t~--°as thought of as the vehicle to cover this exposure. The more modern approach, however, is to provide a formal Short-Term Disability program in place of larger accruals of Sick Leave. The management group believes this should be the direction we take as an organization and, therefore, recommends that as an offset to the reduction in the annual Sick Leave accrual from 18 days (144 hours) to 9 days (72 hours), we implement. a Short-Term Disability program. Sick Leave would continue to carry over from year to year «~ith no aggregate limitation on accrual, as outlined under the existing Sick Leave program. Staff r~~ould recommend that the lower Sick Leave accrual rate be implemented, effective at the staY-t of the pay period following the date on which the authorizing legislation would legally take effect. 2. Provision of'a ~'~re~v Sl~art-Term Disability Program. The Short-Term Disability program recommended by the management group would be aself-funded program and would provide disability income benefits at 7d% of normal wages/salary for a maximum period of 24 t~~•eeks. (Refer to "Exhibit A" -Leave Program Design.) During the period of Memo to Council re Redesign of Leave Program August 1~, 2008 Page 6 of 10 disability, the employee would have the option to supplement his/her disability payments up to 100% of normal wages/salary through the use of his/her existing Sick Leave bank. This program would pro~~ide our employees with a minimum level of income protection without their reliance solely on Sick Leave, thus enabling them to preserve their Sick Leave banks for other illnesses of anon-disabling nature. In addition, unlike the current Sick Leave program, which requires a new employee to build his/her Sick Leave bank over time to the level which provides significant disability income protection, the Short- Term Disability program would provide a "safety net" for our newer employees by providing at least an income protection level of 70% should they encounter a disabling illness or non-work related injury early in their tenure with the City. The provision of such aShort-Term Disability program can also be viewed as a major "offset" for the change in Sick Leave accrual. Under the proposed program design, benef°its would begin after 7 consecutive work days of absence due to a disabling illness or injury, for which the employee could use various forms of available paid leave (i.e. Sick Leave, Vacation Leave, Personal Leave, etc.). (Refe~° to "Exhibit D" -Leave Benefits Survey -for a cam~ari,san of haw the recommended disability benefit levels relate to athey local government entities in Central Ohio.) The City would contract «-~ith a third party administrator to assist the City in the development of a formal, written plan document by which the plan would be governed and to review and adjudicate all disability claims pursuant to plan's terms and conditions. Staff would recommend that this new Short- Term Disability program be implemented effective January 1, 2009. 3. Sick Leave Banks'Sick Leave Usage. During the management group's deliberations leading up to the formulation of recommendations, various alternatives for modifying the nature of the current Sick Leave banks were discussed to a considerable extent. These alternatives included several different approaches to "freezing" the current Sick Leave banks upon implementation of a new sick leave program in order to draw a distinction between "old sick leave" and "new sick leave" and furthermore, to limit the usage of "old sick leave" only to supplement disability payments up to 100% of wages/salaries. In the final analysis, these alternatives were deemed to be too intricate to administer and not in the best interest of our organization. Therefore, the management group recommends that the structure and nature of the current Sick Leave banks remain unchanged and that the usage of Sick Leave be allowed to continue as currently exists. Other Leave Benefit Enhancements/Ne~~ Leave as Offset to Reduction in Sick Leave 4. Personal Leave. As part of its recommendations, the management group is also advocating that we provide one additional day (8 hours) of Personal Leave, which can be viewed as a partial offset for the change in Sick leave accrual. (Refer to "Exhibit A" - Leave Program Design.) This would increase the annual Personal Leave allocation from 4 days (32 hours) to 5 days (40 hours). (Refer to "Exhibit D " -Leave Benefits Sup°vey - far a comparison of how these benefit levels relate to other local government entities in Central Ohia.) The use of Personal Leave requires the prior approval of the employee's supervisor and could, therefore, be reasonably managed, unlike the expansive protection Memo to Council re Redesign of Leave Program August 1~, 2008 Page 7 of 10 that Sick Leave would enjoy under the Ohio Healthy Families Act, should such Act be approved by the voters on November 4, 2008. (Refer to "Exhibit C" -The Chia Healthy Families Act, Pitfalls for Employers -for farther infarmatian on these protections.) In this regard, the City would preserve its current ability and right to manage Personal Leave to the same degree it currently enjoys. Staff would recommend that the proposed ei>1lancement to the Personal Leave benefit be implemented effective January 1, 2009. Under such circumstances, the current Personal Leave allocation would remain effective for the remainder of 2008. 5. Bereavement Leave. The management group also recommends that we create a ne~~• foiYn of leave officially known as Bereavement Leave. (Refer to "Exhibit A " -Leave Program Design.) Although our current Sick Leave program authorizes the use of Sick Leave for bereavement purposes, inherent in such use is the requirement to charge the leave against the employee's existing Sick Leave balance. Under the proposed program design, bereavement leave would no longer be charged to Sick Leave, but would become its own form of leave. This would presei•~~e the employee's Sick Leave bank for other non- bereavement leave purposes. Also under the proposed program design, Bereavement Leave would be limited to three work days, whether for in-state or out-of--state funerals. Current policy allows tluee days of Sick Leave for bereavement purposes, which may be extended to five days for an out-of--state funeral. The existing provision providing a list of qualifying relatives, for which one could use leave, remains unchanged. (Refer to "Exhibit D" -Leave Benefits Sus"Vey - far a comparison of how t1~e,se benefit levels relate to other local government entities in Central (_~I~io.) Staff would recommend that the proposed new Bereavement Leave benefit be irnplernented effective January 1, 2009. Under such circumstances, the current provision authorizing the use of Sick Leave for bereavement purposes would remain effective for the remainder of 2008. Leave Benefit Enhancements/FOP Considerations 6. Tlacatian Leave Acer•ual Schedule. The management group recommends that an enhancement be made to the current Vacation Leave accrual schedule. (Refer to "Exhibit A" Leave Program Design for complete vacation accrual schedule.) This enhancement would involve modifying the current 5-10 years of public service level in the schedule to 5-9 years; modifying the current 11-15 years of public service level to 10- 15; and enhancing the accrual from 180 hours to 182 hours at the 10-15 year level, from 200 to 208 at the 16-20 year level, and from 230 to 246 at the 21 or more year level. (Refer to "Exhibit D" -Leave Benefits Survey - for a comparison of I~ow these benefit levels relate to other local government entities in Central Ohio.) These enhancements to the Vacation Leave accrual schedule represent parity with the Vacation Leave accrual schedule proposed by Management to the FOP bargaining units at these levels. Staff would recommend that the enhancements to the t%acation Leave accrual schedule be implemented effective January 1, 2009. Under such circumstances, the current Vacation Leave accrual schedule «.ould remain effective for the remainder of 2008. Memo to Council re Redesign of Leave Program August 1~, 2008 Page 8 of 10 7. vacation Carr}% Over° Year to Yeas°. The management group recommends that an enhancement be made to the current Vacation Carry-Over provision. (Refer to "Exhibit A "Leave Pragram Design.) This «~ould involve enhancing the maximum carry over year to year for employees with 20 or more years of public set•~~ice from 200 to 240 hours. (Refer to "Exhibit D" -Leave Benefits Survey - for a comparison of how these benefit levels relate to other local government entities in Cents°al F~l~io.) This enhancement to the Vacation Carry-Over provision represents parity with the Vacation Carey-Over provision proposed by Nlanagement for the FOP bargaining units. Staff would recommend that the enhancement to the Vacation Carry-Over provision be implemented effective January 1, 2009. Under such circumstances, the current Vacation Carry Over provision would remain effective for the remainder of 2008, 8. Annual Sick Leave Conversion. The management group recommends that the City's existing provision allowing the conversion of Sick Leave to a cash payment on an annual basis be enhanced. (Refer to "Exhibit A " -Leave Program Design.) Under the current program, a maximum of 48 hours of Sick Leave may be converted annually at the rate of two hours of leave for one hour of pay (2:1) provided that the employee has used 40 or less hours of Sick Leave (FMLA Leave exempted) the preceding year and has a Sick Leave balance of 720 hours at year end. Under the proposed program, the 40 or less hours of use threshold would remain unchanged, but the 720 hour minimum balance requirement would be deleted and the conversion would be enhanced to 28 hours at the rate of one hour of leave for one hour of pay (l:l). (Refer to "Exhibit D" -Leave Benefits Survey - for a comparison of hotiv these benefit levels relate to other local government entities in Central G~hio.) This enhancement to the Annual Sick Leave Conversion provision represents parity ~~~~ith the Annual Sick Leave Conversion provision proposed by 1Vlanagement for FOP bargaining units. Staff would recommend that the ei111ancement to the Annual Sick Leave conversion provision be implemented effective January 1, 2009. Under such circumstances, the current Annual Sick Leave conversion provision would remain effective for the remainder of 2008. 9. Sick Leave Conversion Upon Separation. The management group recommends that Sick Leave Conversion Upon Separation provision be enhanced. (Refer to "Exhibit A" - Leave Pragram Design.) Under the current program, an employee may convert L%3 of his/her Sick Leave balance up to a maximum of 540 hours if he;'she has a minimL~m of 10 complete years of service with the City of Dublin and retires through the Ohio Public Employees Retirement System (OPERS). In addition, an ernployee may convert 1 /3 of his/her Sick Leave balance up to a 500 hour maximum if he/she has a minimum of 20 complete years of Dublin service, resigns in good standing, and has a 1,280 hour minimum balance at time of resignation. Under the proposed program, the 10 year service and retirement requirements, the 20 year service and resignation and 1,280 hour minimum balance requirements would all be deleted and the maximum conversion would be enhanced to 700 hours. As long as the employee separates employment in good standing, he/ she would be eligible to convert 113 of his/her Sick Leave balance up to the enhanced 700 hour maximum. (Refer to "Exhibit D " -Leave Benefits Sldrvey -far a Memo to Council re Redesign of Leave Program August 1~, 2448 Page 9 of 14 comparison of how these benefit levels relate to otT~er local government entities in Central Ohio.) The conversion rate of 113 up to the enhanced 744 maximum represents parity with the maximum conversion amount proposed by Management for the FOP bargaining units. Staff would recommend that the enhancements to the Sick Leave Conversion Upon Separation provision be implemented effective January 1, 2449. Under such circumstances, the current Sick Leave Conversion Upon Retirement and Resignation provisions would remain effective for the remainder of 2448. 14. Annual Vacation Leave Conversion. The management group recommends an enhancement to the Atuiual Vacation Leave Conversion provision. (Refer to "ExhibitA" -Leave Pr•agram Design.) Currently, only Directors may convert Vacation Leave amlually up to a maximum of lb4 hours at year end. The proposed enhancement would allow employees (non-Directors) with 11 or more years of public service to convert a. maximum of 44 hours of vacation leave annually at the rate of one hour of leave for one hour of pay (l : l) provided he/she has a minimum Vacation Leave balance of 124 hours at year end. (Refer to "Exhibit D " -Leave Benefits Survey - for a comparisan of haw these benefit levels relate to other local government entities in Central Ohio.) This enhancement to the Annual Vacation Leave Conversion provision represents parity with the Annual Vacation Leave Conversion provision proposed by Management for FOP bargaining units. Staff would recommend that the proposed enhancement to the Annual Vacation Conversion provision be implemented effective January 1, 2449. Under such circumstances, the current Annual Vacation Leave Conversion provision solely for Directors «~ould remain effective for the remainder of 2448. Other Considerations 11. Paid Time Off or Employees in Part-Time Permanent Positions. As part of the effort to redesign our leave program, the management group also examined the current Paid Time Off provision covering our employees serving Part-Time Permanent positions (8 positions). Following this examination, the management group determined that this Paid Time Off provision should also be redesigned. (Refer to "Exhibit A" -Leave Progr•arn Design. Therefore, the management group recommends that the 32 hour allocation of Paid Time Off currently provided to employees serving in Part-Time Permanent positions be reduced to 16 hours and that the name be changed to Personal Leave and further, that these employees also receive apro-rated Sick Leave accrual in relation to their hours «-orked. This program design change would not only allow for consistency in leave titles between employees serving in both Full-Time and Part-Time Permanent positions but, more impol-tantly, would provide an overall enhancement in leave benefits for a segment of our employee population that provides a steady level of commitment to our organization as well as a stable, reliable workforce. This enhancement in leave benefits would aid in the retention of this workforce. Staff would recommend that this program design change be implemented effective the start of the pay period following the date on which the authorizing legislation ~~rould legally take effect. Memo to Council re Redesign of Leave Program August 1~, 2008 Page 10 of 10 12. Sick Leave Trans er from P~°ior Public Ernplo~%ment. As part of the effort to redesign our leave program, the management group identified an unintended gap in our current provision allowing the transfer of Sick Leave from prior public employment «-•ith the State of Ohio or any political subdivision thereof. Such a Sick Leave transfer provision is not uncommon in Ohio; however, the management group noticed a gap in our provision which it felt should be addressed at this time. This gap involves the fact that there is no restriction in this provision preventing this transferred Sick Leave from being converted to a cash payment either on an annual basis or upon retirement or resignation. In an effort. to close this unintended gap, the management group reconunends that a provision be added which restricts transferred Sick Leave from being converted to a cash payment either on an annual basis or upon separation. (Refer to "ExhibitA" -Leave Program Design.) Staff would recommend that this program change be implemented effective the start of the pay period following the date on which the authorizing legislation would legally take effect. Financial Ramifications Staff has analyzed the financial impacts of the proposed redesign of the non-union leave program and has calculated the projected ramifications associated with each component of the redesigned leave program. (Refe~° to "Exhibit E" -Financial Impacts of Redesigned Leave Prog~°am.) The annual financial impact resulting from this redesigned leave program is estimated to be $62,950. This financial impact would be reflected in the 2009 Operating Budget. RECONINIENDATION Staff believes that the proposed redesign of our leave program is both competitive with the market and fair relative to the leave program designs in place for union employees within the City of Dublin. Staff, therefore, recommends the adoption of the proposed Leave program design as represented in this staff report and accompanying "Exhibit A". In addition, Staff also recommends that Council provide direction to staff to prepare the necessary legislation amending the existing Leave program design for non-union employees as represented herein, and place such legislation on the September 2, 2008 Council Meeting Agenda for Council's consideration. Staff further recommends the adoption of such legislation at the second reading/public hearing at the September 15, 2008 Council Meeting. Should Council indeed adopt such legislation on September 15, 2008, the legislation would legally take effect on October 15, 2008. Attachments "EYHIBIT A" LEAVE PROGRAM DESIGN COMPARISON TABLE (Current to Prapasecl) 8-10-08 Leave Provision Current Proposed Comments Sick Leave t~,nnual Sick Leave accrual is 18 Reduce annual Sick Leave accrual 18 day annual accrual rate exceeds !lccrual days {144 hours}. to 9 clays (72 hours}. accrual rates provided by mast comparable local government entities 3-day Sick Leave advance for initial 3-day Sick Leave advance for initial in Central Ohio area. 3 months of employment. 3 months of employment. Provision of formal Short-Term Sick Leave accrues in bank with no Sick Leave accrues in bank with no Disability program in place of larger aggregate limitation. aggregate limitation. Sick Leave accrual is a more modern approach. Structure and nature of Sick Leave banks remain unchanged and Sick Implement lower accrual rate Leave may be used as currently effective the start of pay period allowed. following the date on which the authorizing legislation would legally take effect. Sick Leave carry Sick Leave carries over year to year Sick Leave carries over year to year No Change. Over with no carry over limitation. with no carry over limitation. Leave Provision Current Proposed Comments Sick Leave Sick Leave balance transferred from Sick Leave balance transferred from Provision restricting the conversion of Transfer fiam prior public eml~layment w,~ State of prior public employment w/ State of transferred sick leave closes and Prior Public Olua ar any political subdivision Ohio ar any political subdivision unintended gap in current conversion Employment thereof is placed in new employee's thereof would be placed in new provisions. Sick Leave bank at time of employee's Sick Leave bank at time appointment with City of Dublin. of appointment with City of Dublin. Na cunent provision restricting this Transferred Sick Leave would not transferred Sick Leave from being be eligible for com%ersion to cash converted to cash payment an an payment either on an annual basis annual basis or upon retirement ar upon separation. resignation. Short-Term None Benefits begin after 7 consecutive New Short-Term Disability program Disability days of absence. can be viewed as a major "offset" for (New Benefit) reduction in Sick Leave accrual. 70% wages/salary for up to 24 weeks. More modern approach to mitigating Short-Term Disability elposure than Supplement up to 100% of normal just providing large Sick Leave wages/salary via Sick Leave bank. accrual. Employees no longer have to rely solely on their Sick Leave banks for this pui7~ase. Preserves employees' Sick Leave banks for other non- disabling illnesses. Provides a "safety net" far new employees who have a small Sick Leave banks. Implement effectiti'e 1-1-09. Leave Provision Current Proposed Comments Personal Leave Personal Leave allocation of ~ days Increase Personal Leave allocation 1 additianal Personal Day can be Allocation {32 hours}. to 5 days (40 hours). viewed as a partial offset to change in Sick Leave accrual. Implement effective 1-1-09. Current Personal Leave Allocation would remain effective for the remainder of 2008. Personal Leave Na cony aver year to year. Na carry over year to year. Na change. Carry Over Bereavement Charged to Sick Leave balance. No Langer charged to Sick Leave Can be viewed as a partial "offset" far Leave balance. (Becomes a separate form reduction in Sick Leave Accrual. (Ne~v Benefit) 3 days of leave far bereavement of leave.) purposes; extended to 5 days for Because leave for bereavement out-of--state services. 3 days of Bereavement Leave. {No purposes would no longer be charged longer an extension to 5 days far against the employee's Sick Leave List of qualifying relatives. out-of--state sen%ices.) (Employees bank, the employee's Sick Leave may use other farms of paid leave bank would be preserved for other for additianal time off if necessary.) non-bereavement purposes. List of qualifying relatives remains. Implement effective 1-1-09. Current provision regarding leave far bereavement purposes would remain part of Sick Leave for the remainder of 2008. Leave Provision Current Proposed Comments Vacation Accrual Years of Vacatian Years of Vacatian Enhancement in years of public Schedule Completed Public Accrual Completed Public Accrual service from 5-10 to 5-9 and from 11- Service Hours Service (Hours 15 to 10-15 represents parity with Vacation Accrual Schedule propased 0-1 40 0-1 40 by Management for FOP bargaining units. 2-4 108 2-4 108 Enhancement in t%acatian accrual 5-10 142 5-9 142 from 180 to 182 at the 10 -15 years of public service level, from 200 to 208 11-15 180 10-15 182 at the 16-20 years of public sen~ice level, and from 230 to 246 at the 21+ 16-20 200 16-20 208 veers of public service level represents parity with the vacatian 21 + 230 21 + 246 accruals propased by Management for FOP bargaining units at these levels. Implement effective 1-1-09. Current Vacation Leave Accrual Schedule and Amounts would remain effective for the remainder of 2008. Vacation Carry 160 hours with less than 11 years 160 hours with less than 11 years Enhanced carry over from 200 to 240 Over of public sen~ice. of public service. hours far 20 or mare years of public service represents parity with 200 hours with 11 ar mare years 200 hours with 11 ar mare but less Vacatian Carry-Over pravisian of public service. than 20 years of public service. propased by Management far FOP bargaining units. 240 hours with 20 ar mare years of public service. Implement effective 1-1-09. Current Vacatian Carly-Over pravisian would remain effective for the remainder of 2008. Leave Provision Current Proposed Comments Annual Sick Leave 4$ hours at 2:1 with 40 ar less hours Enhance conversion rate to 28 Enhanced cam%ersian rate of 2& hours Conversion to of sick leave use annually (FIvII_,A hours at 1:1. at 1:1 represents parity with proposed Cash Leave exempted) and minimum FOP bargaining units' canversian balance of 720 hours. 40 or less hours of sick leave use rate. annually (FMLA Leave exempted) remains unchanged. Implement effective 1-1-09. Current Annual Sick Leave Conversion Delete 720 hour minimum balance provision would remain effective for requirement. the remainder of 2008. Sick Leave Employee may convert 113 of Sick Delete 10 year service and Conversion rate of 1,''3 of Sick Leave Conversion to Leave balance up to 540 hour retirement provision in its entirety. balance up to the enhanced 700 hour Cash Upon maximum with minimum of 10 maximum represents parity with Separation complete years of sen%ice wlCity of Delete 20 year sen%ice, resignation, maximum number of hours eligible Dublin and approved OPERS and 1,2$0 hour minimum balance for conversion proposed by retirement. In the event employee requirements. 1\~Ianagement far FOP bargaining dies while in employ of City (not units. killed while perfrnming authorized Employee may convert 1/3 of Sick and assigned jab duties), except far leave balance up to an increased Implement 1-1-09. Current Sick resignation/separation provision as 700 hour maximum with any type Leave canversian Upon Retirement follows, and qualifies far of separation in good standing. and Resignation provisions would retirement, such compensation paid remain effective for the remainder of to spouse or, secondarily, estate. 100% com~ersion if killed while 2008. performing authorized, assigned jab Employee may convert 1/3 of Sick duties remains as is. Leave balance up to 500 hour maximum with minimum of 20 years of sen%ice w/City of Dublin, resignation in good standing, and minimum balance of 1,280 hours at time of resignation. 100% conversion if killed while performing authorized, assigned job duties. Leave Provision Current Proposed Comments Annual Vacation Only Directors may convert a Director's conversion provision Enhanced conversion option for Leave Com~ersion maximum of 160 hours at year end. remains unchanged. employees (non-Director) represents to Cash parity with Annual Vacation Leave Enhance conversion option to allow Conversion provision proposed by employees (non-Directors) to Management for FOP bargaining convert maximum of 40 Hours at units. rate of 1:1 with 11 or more years of public service and minimum Implement effective 1-1-09. Current balance of 120 Hours at year end. Director-only conversion provision would remain effective for the remainder of 2008. Vacation Leave 100% of balance upon layoff, 100% of balance upon layoff, Com%ersion to resignation, or separation. In event resignation, or separation. In event No Change. Cash Upon of employee's death, paid to spouse of member's death, paid to spouse Separation or, secondarily, estate. or, secondarily, estate. Personal Leave 100% of balance for layoff. (No 100% of balance for layoff remains Conversion to conversion for any other form of as is. (No conversion for any other No Change. Cash Upon separation.) form of separation.} Separation Paid Time Off for 32 hours of Paid Time Off. Reduce allocation from 32 hours of Change from Paid Time Off to Employees in Part- to 16 hours and change name to Personal Leave allows for consistency Time Permanent Personal Leave. in leave titles between employees Positions serving in both Full-Time and Part- Enhance overall leave benefits by Time Permanent positions. providing pro-rated Sick Leave accrual. Staff in Part-Time Permanent positions provide a steady level of commitment to our organization as well as a stable, reliable workforce. Overall enhancement in leave benefits would aid in the retention of this workforce. R-9-08 SICK LEAVE POLICY COMPARISON (Current City Policy v. Ohio Healthy Families Act) EXHIBIT B Provision Current City Policy Ohio Healthy Families Act Accrual 18 Days /Year (144 Hours} for employees in full-time Minimum of 7 Days for employees working 30 or more hours pe-• permanent positions. No Sick Leave for employees week; proa•ated for employees working less than 30 how•s per ~~reek serving in less than full-time permanent positions. or 1,5b0 hours per year. Accrual Method Pay Period {5.54 Hours/Pay Period) lUlust accrue at least monthly New employees granted an "advance" of 3 days for first Employer has discretion to provide a sick leave "advance". 3 months of employment. Sicl~ Leave Use Actual Illness or disability of employee; Actual illness Absence resulting from a physical or mental illness, injury, or medical or disability of one or more of the employee's family condition; absence resulting from obtaining a professional medical members requiring employee's personal care and diagnosis or care, or preventive medical care for the employee; absence attendance; appointments w/ physicians or dentists; for the purpose of caring for a child, parent, or spouse, who has a confinement to borne because of quarantine; physical or mental illness, injury, or medical condition, or who needs berea~°ement for family members. Sick leave may also diagnosis or preventive care. be requested far other members of the employee's household and may be approved at the discretion of the City 1~lanager, or designee, on case-by-case basis, based on merits of each case. Notification Employee must notify supervisor not later than 30 Employees shall make reasonable efforts to schedule leave in a manner minutes before normal starting time on 1~ day of that does not disrupt the operations of the City. In cases in wluch leave absence, unless impossible to do sa, in which case, as is foreseeable at least 7 days in advance of such leave, the employee soon as possible thereafter; 48 hours in advance for shall provide 7 days of notice. In cases in which leave is not doctor or dentist appointments, except in emergency foreseeable at least 7 days in advance of such leave, the employee shall situations. provide notice as soon as practicable once the employee becomes aware of the need for such leave. Provision Current City Policy Ohio Healthy Families Act Medical Supervisor may require medical certification for Supervisor may require medical certification only after more than Certification longer than two consecutive days, or for the day three consecutive workdays of absence. Employee has 30 days to immediately preceding or following a holiday, or any provide certification. time abuse is suspected. Smallest All forms of leave may be taken in increments of 15 Sick leave may be taken in the smallest increment permitted by Increment of Use minutes or greater. employer for other forms of leave. Disciplinary Disciplinary action far abuse. Usage of sick leave shall not be used as a negative factor in any Action employment action, such as hiring, promotion, or disciplinary action. {As the Act is currently written, it would be very difficult far the employer to discipline for patterned abuse. For example, an employee could show up 15 minutes late far work an a repeated basis and, in light of notice provision in the Act, claim helshe was sick and that it was impracticable to provide any notice prior to al7ival - would be very difficult for employer to take disciplinary action under these circumstances.} Cannot count the use of sick leave under a no-fault attendance policy. Carry Over Automatic carry over from year to year w/ no aggregate Automatic carry over fl•om year to year w/ no aggregate cap. cap. Transfer from Transfer of unused leave if hired by Dublin within 14 Act is silent. State of Ohio or years of service with such entity. other Political subdivision of State of Ohio Provision Current City Policy t~hio Healthy Families Act Supplement to Vacation Leave, Personal Leave, and Compensatory Sick Leave is defined as an increment of compensated leave which may Sick Leave Time may be used to supplement Sick Leave when Sick be used far the medically-related reasons listed under Sick Leave Use Leave is exhausted. black above. Vacation Leave, Personal Leave, and Compensatory Time might also be considered protected leave if it can be used for the same purpose as Sick Leave. Annual At end of payroll year with minimum balance of 720 Act is silent. Conversion hours; 40 or less hours of sick usage during prior 12 months (FI~~,A leave exempted); maximum conversion of 48 hours at rate of Z to 1. Conversion Upon Cam1ersion at rate of 113 up to 540 hour maximum with Act is silent. Retirement/Layoff minimum of 10 complete years of service w/City of Dublin. Conversion Upan Conversion at rate of 1/3 up to 500 hour maximum with Act is silent. Resignation minimum of 20 years of ser~'ice w/City of Dublin; resignatian/separatian in goad standing; and minimum balance of 1,2&0 hours. Com~ersian if Paicl at 100% to surviving spouse or, secondarily, the Act is silent. Killed while estate. Performing Assigned Jab "EXHIBIT C" OHIO HEALTHY FAMILIES ACT iii]itfalls far Employers" In addition to requiring employers to provide a minimum of 7 paid sick days per year for employees working 30 or more hours per week and apro-rated amount for employees working less than 30 hours per week or 1,560 hours per year, the Ohio Healthy Families Act would present several pitfalls far employers. These pitfalls are as follows: • Employees can take sick leave for medical reasons and an employer is not permitted to require medical certification regarding the need for such leave unless the employee is absent for more than three (3) consecutive work days. Employers are prohibited from applying the use of sick leave as a negative factor in any employment action, such as hiring, promotion, ar discipline. This means that sick leave becomes a protected form of leave {like FIVILA Leave) and the employer cannot take any adverse action against an employee for the use of such sick leave, even if the employer believes that the employee is engaging in patterned absences or otherwise abusing sick leave. Accrued but unused sick leave carries over to the next vear. It is unclear in the proposed language of the Act whether the carryover can be capped at seven (7) days. It is more likely that the employee can continue to carry over leave from year to year on an unlimited basis. • Employees are required to provide advanced notice of the need for leave; however, when such advanced notice is not practicable, the employee is only required to provide notice that is practicable under the circumstances. As with the FMLA, employees with certain medical conditions would be pei•~nitted to provide very little if any advanced notice of the need for sick leave. • Sick leave can be taken in any portion of a work day that the employer's payroll system uses to account for leaves of absence. This means that employees can take sick leave in 6, 10 or 15 minute increments if the employer's payroll system accounts for time in such fractions. This means that an employee could show up late for work 15 minutes late on a repeated basis and, in light of the above notification requirement, claim that he/she was sick and that it was impracticable to provide any notice to the employer prior to arrival. Under such circumstances, the employer would be prohibited from taking any disciplinary action against the employee. (See second bullet point above.) After the enactment of the Act, employers are prohibited from eliminating or reducing leave of any type in order to comply with such Act. This means that if any employer is considering modifications to thei-• lea`~e policies which might involve the reallocation of sick leave to other forms of leave, they should do so prior to the Act's date of enactment. SZD~ SZD Q and A on the Ohio Health~~ Families Act What is the Ohio Healthy Families Act? The Ohio Healthy Families Act ("OHFA") is a statewide initiative to be placed on the November 4, 2445 ballot. This initiative, if passed, would enact the OHFA as part of the Ohio Revised Code. The OHFA requires employers with 25 or more employees to provide to employees a minimum of seven (7) paid sick days per year. Who is sponsoring the OHFA? The OHFA is sponsored by a "coalition of citizens and organizations" known as the Ohioans for Healthy Families. This coalifion is made up primarily of labor unions, special interest groups and political leaders. Some of the noteworthy coalition members include the SEIU, the Teamsters, the United Auto Workers, the UFCViT, UNITE HERE, United Steelworkers, the Ohio Education Association, the IBEW, the AARP, the Oluo Democratic Party, and many state and municipal government officials. What does the OHFA requite? The OHFA requires that employers in Ohio provide each employee with not less than seven (7) days of paid sick leave on an annual. basis. This would include all employees who are working 34 hours or more per week. Employees who are working less thali 30 hours per week would be entitled to a prorated amount of paid sick leave on an annual basis based upon the munber of hours they work. What employers are covered? All employers in the state who employ 2~ or more employees. When do employees become covered? Employees begin to accumulate sick leave immediately upon employment. An employer shall not be required to permit the use of sick leave during the first 94 clays of employment. How is sick leave accrued? Sick leave must be accrued at least monthly. Our company has part time employees who work as little as 8-10 hours a week. How do you determine paid sick leave for• these individuals? Golumh.~+s Office 250 YVesi Street, Golum,5u.~ Ohio 43296 ~ Voice: 694.462.2700 ~ Fax: 694.462.51 a5 ~ vnvw. szd. com Cleveland Office tJSBank Centre, 9330 Euck'd Avenue, Suite 9400, Cleveland, Ohm 44995 ~ Voice: 296.629.6609 ~ Fax: 296.629.6602 ~ www. szd.com Cincinnati Office 629 Oak Street, Suite 600, Cincinnati, Ohio 45206 ~ Voice: 593.792.0792 ~ Fax: 593.792.0803 ~ wwav. szd. com Raleigh ONice 950 Fayetteville Street SuRe 9270, Raleigh, NoAh Carol+»a 27609 ~ Voice: 999.256.5700 ~ Fax: 999.256.5709 ~ vrvwszd. com SZD~ According to the OHFA, these employees are entitled to paid sick leave on a prorated basis. This means a proportion that is equal to the ratio of part-time hours worked to full-time hours worked. Can an employer offer more paid sick days than 7 per year? Yes. Seven {7) days of paid sick leave is a minimum, not a maximum. What happens to unused sick leave at the end of the year? Accrued sick leave caries over from year to year, but an employer may cap the accumulation at seven {7) sick days per yeas. Employers may permit employees to accrue more than seven ('~ days and carry them over from year to year. Is sick leave accrued on a calendar year, fiscal year oi• employee anniversary year? The OHFA is not clear on this point, and only requires that sick leave be provided "annually." Therefore, it is likely that an employer can choose the method of accrual based upon calendar year, fiscal year or employee a7uv.versary year. Unlike the Family and Medical Leave Act, however, the OHFA does not have a `dolling" year provision. For what purposes can sick leave under the OHFA be used by an employee? Sick leave can be used by an employee for the employee's own physical or mental illness, injury or medical condition, the employee's need to obtain professional medical diagnosis or care (including preventative medical care), or an absence for the puapose of caring for a child, parent or spouse who has a physical or mental illness, injury or medical condition or who needs to obtain professional medical diagnosis or cave, including preventative medical care. Does the OHFA cover domestic partners? No. The term "spouse" is not defined in the OHFA. Therefore, it appears that only spouses who are legally recognized in Ohio would be covered. Who is considered a "child"? Under the OHFA, a child is a biological, foster, adopted or stepchild, a legal ward or a child of a person who is standing rn loco pcr~en~r's. In order to be covered, the child must be under 18 years of age or if over 18 years, the child must be incapable of self-care due to a physical or mental disability. What type of notice is 1•equired by the employee to take sick leave? An employer must protride sick leave upon the oral or v~nitten request of an employee Golumh.~+s Office 250 YVesi Street, Golum,5u.~ Ohio 43296 ~ Voice: 694.452.2700 ~ Fax: 694.462.51 a5 ~ vnvw. szd. com Cleveland Office tJSBank Centre, 9330 Euck'd Avenue, Suite 9400, Cleveland, Ohm 44995 ~ Voice: 296.629.6609 ~ Fax: 296.629.6602 ~ www. szd.com Cincinnati Office 629 Oak Street, Suite 600, Cincinnati, Ohio 45206 ~ Voice: 593.792.0792 ~ Fax: 593.792.0803 ~ wwav. szd. com Raleigh ONice 950 Fayetteville Street SuRe 9270, Raleigh, NoAh Carol+»a 27609 ~ Voice: 999.256.5700 ~ Fax: 999.256.5709 ~ vrvwszd. com SZD~ ghat type of information is required in the oral or written request of an employee? The request shall include the reason for the absence and the expected duration of the leave How much advance notice can an employer require? In cases where leave is foreseeable at least seven ('7) days in advance of such leave, seven ('~ days notice shall be provided. In cases where leave is not foreseeable at least seven (7) days in advance of such leave, notice shall be given as soon as practicable once the employee becomes aurare of the need for such leave. Employees are required to make reasonable efforts to schedule leave in a manner that does not unduly disrupt the operations of the employer. In what increments can paid sick leave be used by an employee? The employee can use paid sick leave in v~Thole work days or the employee may use paid sick leave on an hourly basis or even in the smallest increment that the employer's payroll system uses to account for absences or use of other leave. Employees can use sick leave in 15 or 10 minute increments (or smaller) if the employer's payroll system accounts for absences or the use of other types of leave in these smaller increments. Can an employer require certification fi•om a health care professional to substantiate the need for• leave? Yes. An employer may require certification from a health care professional, but only for absences of more than three {3) consecutive work days. How soon is the employee required to provide certification from a health care professional? Upon request, the employee must pro~•ide certification fiom his or her health care professional regarding the need for leave in a timely manner, which is no later than 30 days after the first day of the leave. Under our company's policy, an employee who misses more than three days of work due to illness must provide a doctor's note when he or she returns to work. Does this mean that the employee can take up to 30 days to return the certification? Yes. The employee must return the certification no later than 30 days after the first day of leave. What records must an employer maintain? Golumh.~+s Office 250 YVesi Street, Golum,5u.~ Ohio 43296 ~ Voice: 694.452.2700 ~ Fax: 694.462.51 a5 ~ vnvw. szd. corn Cleveland Office tJSBank Centre, 9330 Euck'd Avenue, Suite 9400, Cleveland, Ohm 44995 ~ Voice: 296.629.6609 ~ Fax: 296.629.6602 ~ www. szd.com Cincinnati Office 629 Oak Street, Suite 600, Cincinnati, Ohio 45206 ~ Voice: 593.792.0792 ~ Fax: 593.792.0803 ~ wwav. szd. corn Raleigh ONice 950 Fayetteville Street SuRe 9270, Raleigh, NoAh Carol+»a 27609 ~ Voice: 999.256.5700 ~ Fax: 999.256.5709 ~ vrvwszd. corn SZD~ Employers shall retain records documenting hours v~Torked by employees and paid sick leave taken by employees for a period of three years. What acts ai•e prohibited by an employer? Employers are not permitted to interfere with, restrain or deny the exercise of any rights provided by the OHFA. Further, an employer shall not discharge or in any manner discriminate against any employee for opposing any practice made unlawful by the OHFA including making a complaint regarding the OHFA, assisting another and exercising such rights, testifying in proceedings under the OHFA or for using paid sick leave. An employer is not permitted to take action against an employee or subject employees to any negative factor as a result of taking such sick leave, such as hiring, promoting or disciplining an employee. Can the use of paid sick leave count under a no fault attendance policy? No. Such sick leave is protected and cannot be used against an employee under a no fault attendance policy. Does this Act have any impact on collective bargaining agreements? No. Nothing in the OHFA is intended to interfere v~rith, impede or in any way diminish the right of employees to either bargain over sick leave or other terms and conditions of employment or in any way reduce the amount of paid sick days established in a collective bargainng agreement, provided that the collective bargaining agreement provides at least the minimum leave required under the OHFA. What effect does it have on current leave policies? The OHFA is not intended to discourage employers from adopting or retaining paid leave policies that are more generous than what is contained in the OHFA. Further, employers who have leave policies that provide paid leave options to employees, such as a "PTO" policy, do not have to modify such policies if such policies offer employees the option of taking leave at the employee's discretion that is at least equivalent to the sick leave provided by the OHFA. Our company has a current "PTO plan" that grants employees 20 paid days a year to use for any purpose. Is this sufficient under the law? Yes, if those 20 days can be used to cover sick leave. Keep in mind, however, that all 20 of those PTO days could be considered protected sick leave under the law. If the OHFA is passed, can our company revise its sick leave policy to reduce the number of days available to seven (7) per year? Golumh.~+s Office 250 YVesi Street, Golum,5u.~ Ohio 43296 ~ Voice: 694.452.2700 ~ Fax: 694.462.51 a5 ~ vnvw. szd. com Cleveland Office tJSBank Centre, 9330 Euck'd Avenue, Suite 9400, Cleveland, Ohm 44995 ~ Voice: 296.629.6609 ~ Fax: 296.629.6602 ~ www. szd.com Cincinnati Office 629 Oak Street, Suite 600, Cincinnati, Ohio 45206 ~ Voice: 593.792.0792 ~ Fax: 593.792.0803 ~ wwav. szd. com Raleigh ONice 950 Fayetteville Street SuRe 9270, Raleigh, NoAh Carol+»a 27609 ~ Voice: 999.256.5700 ~ Fax: 999.256.5709 ~ vrvwszd. com SZD~ No. An employer may not eliminate or reduce leave that is in existence on the date of the enactment of the OHFA, regardless of the type of such leave, in order to comply with the provisions of the OHFA. ~ti hat are the best leave policies for an employ er in Ohio? All employers have different needs for their workforce. Employers should review the types of leave granted to employees to prevent unintended results under this new law should it pass. Existing policies should provide the required sick leave and give employers the ability to regulate all other forms of paid leave. Any changes to existing leave policies must be made in advance of November 4, 2008 to be effective. Contact any member of the SZD Labor & Employment Practice Group for immechate assistance. These materials offer opinions and recommendations of an infotrnative nature, and should not be considet•ed as legal or financial advice as to any specific matter or transaction. Readers should consult an attrnney knov~rledgeable in labor and employment mattet•s fw• such advice. Golumh.~+s Office 250 YVesi Street, Golum,5u.~ Ohio 43296 ~ Voice: 694.452.2700 ~ Fax: 694.462.51 a5 ~ vnvw. szd. com Cleveland Office tJSBank Centre, 9330 Euck'd Avenue, Suite 9400, Cleveland, Ohm 44995 ~ Voice: 296.629.6609 ~ Fax: 296.629.6602 ~ www. szd.com Cincinnati Office 629 Oak Street, Suite 600, Cincinnati, Ohio 45206 ~ Voice: 593.792.0792 ~ Fax: 593.792.0803 ~ wwav. szd. com Raleigh ONice 950 Fayetteville Street SuRe 9270, Raleigh, NoAh Carol+»a 27609 ~ Voice: 999.256.5700 ~ Fax: 999.256.5709 ~ vrvwszd. com Exhibit D Leave Benefit Surve Grove Upper Comparison of Leave Dublin Columbus Delaware Gahanna City Hilliard Pickerington Powell Reynoldsburg Arlington Westerville Worthington 4.6 to 5.5, Sick Leave AccruallPay Period based on years Hours 5.54 2.769 4.6 of service 4.6 4.6 4.6 4.6 4,6 4.615 4 5 Sick Leave AccruallYear Da s 18 9 15 15-18 15 15 15 15 15 15 13 16 Maximum Sick Leave Carry Over Year to Year no limit no limit no limit no limit no limit no limit no limit no limit no limit no limit no limit no limit 1 for 1, the less 2 hours of hours an leave for 1 employee uses 2 hours of 2 hours of 2 hours of hour of 2 hours of for sick leave, leave for 1 leave for 1 leave for 1 pay (2:1), 3:1 up to 240 hrs leave far 1 the more hours 2.5:1 up to 80 Annual Sick Leave Conversion hour of pay hour of pay hour of pay 100 hour 1:1, 80 {min of 480 hrs hour of pay can be hours, must have Rate 2:1 2:1 2:1 No conversion max hour max re uired 2:1 No res onse no res onse converted 640+ hours 3 hours of leave far 1 hour of pay 4:1 from 400 (3:1), to 951 hours, 3:1 up to 640 requires 10 3:1 to 1, 750 hours -Must have years and hours, 2:1 up 15 years of service retirement or to 2,550 60% pay up to 2:1, up to 4:1 and a minimum of Sick Leave Conversion Rate 20 years and hours, 1:1 2:1 up to 640 1,200 and 25% 2:1, up to 1000 2:1 {after 10 yrs (retireldeath 2:1 up to 2,240 232 sick leave U on Se oration resi nation above 2,550 hours for above 1,200 360 hours hours of service onl No res onse 4:1 retire onl hours hours 1,000, however additional hours may 540 hours be (for retire), converted Up to 1200 hrs Maximum Sick Leave 500 upon (after 10 yrs of Conversion U on Se oration resi nation no max 640 hours No Maximum 360 hours a royal service) 1,040 hours No res onse 480 hours 2.240 hours 640 hours Short Term Disability Program yes -based STD ? No onusa a No No No No no No No es No No Number of Consecutive Days of Absence before STD Benefits B in NIA 12 N!A NIA NIA NIA NIA NIA NIA 45 NIA N1A STD Benefit - % of Normal Wa eslSala NIA 89% N1A NIA NIA NlA NIA NIA NIA 60% N1A N1A Sick Leave Hours Supplement STD Benefit Up to used as 100% via Sick Leave or Other supplement to Paid Leave N1A N1A NlA NIA N!A N!A NIA N1A 100% pay N1A NIA Maximum STD Benefit Len th NIA 26 weeks NlA N1A NlA N1A NIA NIA NIA No response N!A N1A Exhibit D Leave Benefit Surve Grove Upper Comparison of Leave Dublin Columbus Delaware Gahanna City Hilliard Pickerington Powell Reynoldsburg Arlington Westerville Worthington 6, number decreases as year continues, Ex. Hired in Jan - 6 days, Personal Leave Da 4 2 4 None None 1 4 5 1 5 Oct -1 da 1 varies, immediate family 3 days, 3 days (in member (1-3 3 days though 5 3 days (In Up to 3 days for manager state), 5 3 days (in days local), days is given in State), 5 immediate family allowed to days (out of state}, 5 days (1-5 days not extreme days (out at discretion of give more if Bereavement Leave Da s state out of state local circumstances 2-5 da s of State City Mana er not local 3-4 da s varies 3-5 tla s 5 da s 0 days, 10 (can not use entitled vacation until1 once Vacation Days for the First Year year of accrual of of Em to ment 5 da s 10 da s 10 da s 13 da s service 40 hours 12 days 10 da s 10 da s 10 da s 10 da s 12 da s Vacation Days w! 2-4 years of Service 13.5 da s 16 3-6 ears 10 da s 13 da s 10 da s 10 12 da s 10 da s 10 days 10 da s 10 da s 12 da s 15 (at 5 years), 20 Vacation Days w15-10 years of 23 (6-13 15 (6-10 17 (4-8 years), 15 (5-9 (at 10 15 (5-9 15 days (6-12 service 17.75 ears ears 19 8-12 ears ears ears 12-17 tla s ears 15 15 ears 13 5-S ears Vacation Days wl 11-15 years of 26 (13-20 22 (12-26 20 (10-14 25 (at 15 17.5(10-15 20 (12-18 18 (9-12 years), service 21.25 ears 20 ears ears ears 18-22 da s ears 20 17.5 at 10 years) ears 21 13-15 ears .308! 3 years Vacation Days w116-20 years of 28 (20-25 25 (16+ 25 (15+ 20 (16-25 added over 13 25 (18-24 service 24 ears ears 24 ears 25 22 ears 25 ears ears 25 Maximum Vacation Carry Over 25 (15+ 25 (26+ 28.7 days@21 wlover 21 ears of service 28.25 30 25+ ears 25 25 ears 25 44 ears 25 ears 30 24+ ears 27 160 hours wlless than 11 years of Maximum Vacation (Days) Carry service, 200 2 x annual 3 x annual 3 x annual 400 hour 2 x annual 3 x annual Over Year to Year w111+ accrual accrual No car over accrual max accrual No car over 240 hours accrual 2 x annual Max of 248 hours Directors may convert maximum of yes with Max of 1:1, max Max of 40 hours Annual Vacation Leave 160 hours council Max of 120 Max of 240 @ 240 @ 1:1 of 80 no @ 1:1 for 1, w18+ Conversion 1;1 a royal hours 1:1 1:1 limit limit hours None conversion None none none ears of service 1:1, max Vacation Conversion Rate Upon All hours All hours @ All hours @ All hours of 400 All hours @ Se aration 1:1 1:1 1:1 All hours 1:1 1:1 hours All hours 1:1 1:1 No res onse All hours 1:1 All hours 1:1 All hours 1:1 Exhibit D Leave Benefit Surve Grove Upper Comparison of Leave Dublin Columbus Delaware Gahanna City Hilliard Pickerington Powell Reynoldsburg Arlington Westerville Worthington Total number of paid leave days at 3 ears 35,5 21 29 28 20 25 31 30 25 30 29 29 Total number of paid leave days at 10 ears 39.75 34 34 34 30 35 36 37.5 30 37.5 34 35 Total number of paid leave days at 15 ears 43,25 37 39 40 35 40 41 37.5 36 40 36.5 38 Total number of paid leave days at 22 ears 50.25 39 44 43 40 40 41 40 41 43 47.7 44 "EXHIBIT E" Financial Impacts of Redesigned Leave Program Annual Impacts Adjustments to sick leave Sick leave days not available for use (based on 2007 usage) $ (132,000) Enhancement to annual sick leave conversion (4 additional hours) 12,950 Note 1 Value of sick leave adjustments $ (119,050) Addition of short-term disability program $ 50,000 Note 2 Adjustments to other leave allocations One additional personal day $ 49,700 Note 3 Additional vacation leave based on total public service 36,000 Note 3 Addition of bereavement leave up to 3 days (estimated) 12,000 Note 4 Value of additional leave allocations Net annual value of redesign of leave program 97,700 28,650 NOTES: 1. Current annual sick leave conversion exchanges two hours of sick leave for one hour of pay, up to a maximum of 24 hours of pay. Redesigned conversion allows for conversion of up to 28 hours of pay, and converts leave on the basis of one hour of pay/one hour of sick leave. This change affects the budget only marginally, but leaves a greater number of sick leave hours in the employee's bank of sick leave. 2. Based on information from Oswald Company, this estimate reflects the cost of aself-funded short- term disability program and third-party administration for non-bargaining employees only; and used 2007 actual FMLA-approved leaves as the basis for the estimate. 3. These changes reflect parity with proposed labor agreements; City Council and City administration traditionally has made the necessary changes to maintain this parity. 4. Bereavement estimate reflects actual value of leave reported as bereavement in 2007. Impacts at Separation Average estimated annual cost of current separation conversion $ 795,000 Note 1 Added cost for increase in maximum to 700 hours. $ 59,800 Additional conversions at separation (5 years of service or more) $ 575,000 Additional conversions at separation (less than 5 years) $ 161,000 NOTES: 1. This amount reflects all employees with existing sick leave balances who can convert this leave to cash payment upon separation under the existing parameters, within the next five years. Funding for this liability is included within the accrued leave reserve fund.